Northeast PA Prepares for Data Center Boom with 29 Projects Planned

John Augustine, president and CEO of Penn’s Northeast.

In the bustling region of Northeast Pennsylvania, a wave of data center development is transforming the landscape. John Augustine, president and CEO of Penn’s Northeast, recently highlighted the boom in data center projects, with 29 of them underway as of his last count. “This is not all of the data centers being proposed … but this is the majority of them,” Augustine stated, emphasizing the scale of the ongoing developments.




John Augustine, president and CEO of Penn’s Northeast.

This surge was a key topic at the “Powering the Future Data Centers in Northeastern PA” seminar, hosted by Penn’s Northeast. The event attracted about 100 participants who engaged in discussions about the burgeoning industry’s impact on the region, workforce development, and site selection strategies.

Highlighting the increasing reliance on digital infrastructure, Augustine pointed out, “Just a few years ago, the average household had 10 devices connected. There are 5.5 billion people online globally, and think about all the devices operating in your house. The average right now is 21, so it shows why data centers are becoming more and more crucial to our everyday living.”

Understanding Data Centers

Among the speakers was Curry Roberts from Parkway Strategies LLC, who joined the Data Centers 101 panel alongside Amazon Web Services’ Merle Madrid. Roberts reiterated the statistic of 21 connected devices per household, underscoring the growing demand for data centers. “Our digital demand just isn’t convenience anymore,” he remarked.

Data centers have become significant contributors to local economies, as seen in Virginia’s Loudoun County, home to 200 such facilities. However, Roberts advised against replicating Virginia’s model, suggesting that data centers should not be located in densely populated areas. Instead, he proposed utilizing vacant industrial sites and ensuring adequate buffer zones.

Highlighting how integral these facilities are to daily life, Roberts referenced the movie “The Day the Earth Stood Still,” pondering the chaos that would ensue if data centers stopped working temporarily. He mused, “No Chick-fil-A, no ATM, no texting, no streaming Netflix and God forbid your teenagers can’t game.”

As the industry grows, transparency and effective communication with local communities have become crucial. Madrid from Amazon Web Services acknowledged the industry’s shortcomings in this area, saying, “As a representative of the industry, we’ve done a pretty lackluster job in telling the story of what these investments mean.”





Merle Madrid of Amazon Web Services discussed Amazon's investment in Luzerne County during a data center seminar.
Merle Madrid of Amazon Web Services discussed Amazon’s investment in Luzerne County during a data center seminar.

AWS’ Expansion in Luzerne County

Amazon Web Services is making significant strides with its data center campus near the Susquehanna Steam Electric Station in Salem Township. Merle Madrid shared insights into the ongoing construction, which involves 17 data center buildings. “You’ve got active construction of buildings going up,” he explained, highlighting the site’s complex nature.

The project, employing around 1,100 construction workers, promises long-term job opportunities. Augustine noted, “You’re guaranteed jobs for the next 10 years at a minimum, as these facilities are built out.”

Water usage at the campus was also a topic of discussion. Madrid clarified that these data centers would use water for cooling only 4% of the year, with the remaining usage similar to any other office building. The Susquehanna River Basin Commission has authorized the project to utilize 129,000 gallons of water daily.

Resource Management and Utilities

Data centers require substantial power and water resources, impacting where they can be situated. Daniel Rickard from Pennsylvania American Water addressed concerns about water usage, explaining that the utility evaluates proposals based on supply, production, and distribution capacities.

With rights to 125 million gallons daily in Wilkes-Barre and Scranton, the company is poised to support data center expansion, though infrastructure upgrades will be necessary.

Power needs also dictate site selection. Shelby Linton-Keddie from PPL Electric emphasized the importance of balancing reliability, affordability, and sustainability when accommodating large power consumers like data centers.

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